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An amendment to the 2012 Defense Authorization Bill, passed by the Senate last week, caps taxpayer-funded compensation for all contracting employees at $400,000. Senate sponsors of the measure say the measure is designed to head off burgeoning defense contractor salaries. Federal employee unions have applauded the bill, but it has drawn the ire of industry groups. The Senate version of the defense bill, which contains controversial provisions dealing with military detainees, must still be reconciled with a House version before becoming law.

As part of the Defense Authorization bill, lawmakers approve the FAI Improvement Act. The provision reaffirms the organization's role to oversee and train the civilian acquisition workforce. It also gives OFPP more oversight over the funding and development of procurement education.